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4.1 CONSOLIDATED FINANCIAL STATEMENTS AND NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Note 9. Intangible assets
DANONE
REGISTRATION DOCUMENT 2015
115
Other brands
Other acquired brands that are deemed to have finite useful lives
are presented under the heading Brands in the consolidated balance
sheet. They are amortized on a straight-line basis over their esti-
mated useful lives, which do not exceed 60 years. The amortization
charges in respect of brands with finite useful lives are allocated to
various headings in the income statement on the basis of the nature
and utilization of the brands concerned.
Development costs
Development costs are only recognized under assets in the conso-
lidated balance sheet if all the recognition criteria set by IAS 38,
Intangible Assets
are met before the products are launched on the
market. They are amortized over the term of their legal protection
granted to the Group as from the date the corresponding products
are launched on the market.
Development costs are generally expensed as incurred (see Note
5.1 of the Notes to the consolidated financial statements).
Technologies, development costs and other
intangible assets
The following elements are recognized in the balance sheet under
the heading Other intangible assets:
•
acquired technologies, which are generally valued with the
assistance of specialized consultants and amortized over the
average duration of the patents;
•
acquired development costs meeting the criteria for the recogni-
tion of an intangible asset in accordance with IAS 38,
Intangible
Assets
(see above);
•
other acquired intangible assets are recognized at their acquisi-
tion cost. They are amortized on a straight line basis over their
estimated economic lives, which do not exceed 40 years.
The amortization charges in respect of these assets are allocated
to various headings in the income statement on the basis of their
nature and utilization.
Note 9.2. Carrying amount and change during the period
2014
2015
(in € millions)
Notes
Goodwill Brands
(a)
Other
intangible
assets
Total Goodwill Brands
(a)
Other
intangible
assets
Total
Gross value
As of January 1
11,474
4,517
850 16, 841 11,582
4,351
842
16,775
Capital expenditure
−
−
42
42
−
−
43
43
Disposals
−
−
(30)
(30)
−
−
(33)
(33)
Reclassification of assets
held for sale
6.2
−
−
−
−
(72)
(83)
−
(155)
Changes in consolidation
scope
2.2
124
−
3
128
94
−
−
94
Translation adjustments
(8)
52
(4)
40
47
23
(11)
60
Impairment
6.2, 9.3
(3)
(249)
−
(252)
(2)
(443)
−
(444)
Other
(6)
30
(19)
6
3
−
14
18
As of December 31
11,582
4,351
842 16, 775 11,653
3,848
856
16,357
Amortization
As of January 1
−
(16)
(517)
(533)
−
(14)
(527)
(541)
Charges
−
(3)
(62)
(65)
−
(2)
(67)
(69)
Disposals
−
−
30
30
−
−
31
31
Other
−
5
22
27
−
1
(1)
1
As of December 31
−
(14)
(527)
(541)
−
(14)
(564)
(579)
Carrying amount
As of December 31
11,582
4,337
315 16, 234
11,653
3,833
292 15,779
(a) Includes brands with indefinite useful lives and the other brands.